"After two months of weather-related volatility, the skies may have cleared for the labor market in May.

Payroll processor ADP said Wednesday that businesses added 178,000 jobs, possibly reflecting at least a modest pickup in hiring in the government’s employment report this week but also the growing impact of worker shortages.

Economists expected ADP to tally 190,000 private-sector job gains, according to a Bloomberg survey. They estimate the Labor Department on Friday will announce that 190,000 jobs were added in the public and private sectors.

“Job growth is strong, but slowing, as businesses are unable to fill a record number of open positions,” said Mark Zandi, chief economist of Moody’s Analytics, which helps ADP compile the report. “Finding workers is increasingly becoming businesses’ No. 1 problem."

The unemployment rate has fallen to a 17-year low of 3.9%. That means there are fewer available workers for each job opening. Monthly job growth averaged a healthy 200,000 to the first four months of the year, according to Labor's report, but that's likely to slow.

Industries that are hiring

Professional and business services led the gains with 61,000 new jobs. Leisure and hospitality added 33,000. Construction added 39,000 jobs as the spring home building season picked up steam. And manufacturers added 14,000 jobs. But trade, transportation and utilities, which includes retail, cut 23,000 jobs.

Weather has a bigger effect on Labor’s report than on ADP’s. As a result, the Labor count on Friday may benefit from a bigger rebound after cold weather suppressed some hiring in April.

With the low 4.1% unemployment rate making it tougher for employers to hire and retain workers, CVS hires hundreds of disabled people annually and has ramped up the hiring amid the tight labor market, with the number of recruits doubling in 2017."